BUSD Finance
The system offers the opportunity to deposit BUSD Tokens and earn a fixed return by locking them for monthly, quarterly, semi-annual, or annual periods. In the relevant field, there is an investment opportunity with increasing interest rates based on the deposited amount and the chosen duration. The aim of the system is to provide liquidity to the HonorSwap ecosystem. The rules to be applied when adding liquidity to the system are as follows:
Investment Rules
Interest remains fixed until the end of the maturity period once the system has received an investment. Any changes in interest within the system do not affect the initial investment made. Interest remains constant as long as the investment is not withdrawn.
-For example, if a user has invested $1000 in the system with a 20% interest rate for 3 months, even if the interest rate in the system drops to 15% after 1 month, there will be no change in the user's interest. If the interest rate in the system increases, let's say to 25%, the user's interest rate remains constant. However, if the user wishes, they can restart the period and keep their earnings in the system at the current interest rate until that day to benefit from the higher interest.
After deducting a five percent fee, the payment is made in HONOR instead of the deposited token, in a manner that is equivalent to the payment in dollars.
-For example, if a user has deposited $1000 in BUSD with a 20% interest rate for 3 months and wants to withdraw their balance after two months, they will receive payment in HONOR equivalent to $950 USD, after a 5% deduction. They will not earn any interest income up to that point.
If you do not withdraw your investment until the end of the term, you will be entitled to the entire interest income. Interest does not accrue after the maturity date. For example, if a user has made a 3-month investment of $1000 in BUSD with a 20% interest rate, even if they decide to withdraw their balance 10 days after the interest period has ended, they will not earn any interest income during those 10 days.
The invested amounts are added to the system as liquidity. When a withdrawal is requested, there may not be sufficient BUSD in the system, but the equivalent tokens are available. In such a situation, if payment is made in Honor Tokens, an additional income equal to 2% of the accrued interest amount is added.
For example, if a user has made a $10,000 investment in BUSD with a 20% interest rate annually, at the end of 1 year, the user is entitled to withdraw $12,000 from the system. If the system checks and there is not enough BUSD liquidity, an additional reward of 2% interest is added to the earned interest, and the payment is made in HONOR tokens. In other words, with a 2% interest reward, they receive HONOR tokens equivalent to $12,040.
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